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SBC (SBC Medical Group Holdings) ROE % : 31.83% (As of Dec. 2023)


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What is SBC Medical Group Holdings ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. SBC Medical Group Holdings's annualized net income for the quarter that ended in Dec. 2023 was $39.4 Mil. SBC Medical Group Holdings's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $123.7 Mil. Therefore, SBC Medical Group Holdings's annualized ROE % for the quarter that ended in Dec. 2023 was 31.83%.

The historical rank and industry rank for SBC Medical Group Holdings's ROE % or its related term are showing as below:

SBC' s ROE % Range Over the Past 10 Years
Min: 6   Med: 18.92   Max: 31.83
Current: 31.83

During the past 2 years, SBC Medical Group Holdings's highest ROE % was 31.83%. The lowest was 6.00%. And the median was 18.92%.

SBC's ROE % is ranked better than
91.15% of 1028 companies
in the Business Services industry
Industry Median: 8.395 vs SBC: 31.83

SBC Medical Group Holdings ROE % Historical Data

The historical data trend for SBC Medical Group Holdings's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

SBC Medical Group Holdings ROE % Chart

SBC Medical Group Holdings Annual Data
Trend Dec22 Dec23
ROE %
6.00 31.83

SBC Medical Group Holdings Semi-Annual Data
Dec22 Dec23
ROE % 6.00 31.83

Competitive Comparison of SBC Medical Group Holdings's ROE %

For the Consulting Services subindustry, SBC Medical Group Holdings's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


SBC Medical Group Holdings's ROE % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, SBC Medical Group Holdings's ROE % distribution charts can be found below:

* The bar in red indicates where SBC Medical Group Holdings's ROE % falls into.



SBC Medical Group Holdings ROE % Calculation

SBC Medical Group Holdings's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=39.37/( (105.25+142.159)/ 2 )
=39.37/123.7045
=31.83 %

SBC Medical Group Holdings's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Dec. 2022 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=39.37/( (105.25+142.159)/ 2 )
=39.37/123.7045
=31.83 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is one times the annual (Dec. 2023) net income data. ROE % is displayed in the 30-year financial page.


SBC Medical Group Holdings  (NAS:SBC) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=39.37/123.7045
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(39.37 / 193.542)*(193.542 / 242.1435)*(242.1435 / 123.7045)
=Net Margin %*Asset Turnover*Equity Multiplier
=20.34 %*0.7993*1.9574
=ROA %*Equity Multiplier
=16.26 %*1.9574
=31.83 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=39.37/123.7045
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (39.37 / 73.579) * (73.579 / 71.069) * (71.069 / 193.542) * (193.542 / 242.1435) * (242.1435 / 123.7045)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.5351 * 1.0353 * 36.72 % * 0.7993 * 1.9574
=31.83 %

Note: The net income data used here is one times the annual (Dec. 2023) net income data. The Revenue data used here is one times the annual (Dec. 2023) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


SBC Medical Group Holdings ROE % Related Terms

Thank you for viewing the detailed overview of SBC Medical Group Holdings's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


SBC Medical Group Holdings Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
6-5-1, Nishi Shinjuku, Shinjuku-ku, Tokyo, JPN, 163-1303
SBC Medical Group Holdings Inc is a management company that provides management services to cosmetic treatment centers mainly in Japan. It is primarily focused on providing comprehensive management services to franchisee clinics, including but not limited to advertising and marketing needs across various platforms (such as social media networks), staff management (such as recruitment and training), booking reservations for franchisee clinic customers, assistance with franchisee employee housing rentals and facility rentals, construction and design of franchisee clinics, medical equipment and medical consumables procurement (resale). They provide management services to a total of One hundred fifty eight franchisee treatment centers under the brand name Shonan Beauty Clinic located in Japan.